FY18 earnings to decide trajectory of equities

India has underperformed other emerging markets and is still among the 5 most expensive in the Asia

Starting this week, India Inc would again gear up for its busy quarterly earnings period. The question is if corporate India would match investor expectations. With the goods and services tax (GST) taking effect on July 1, the expectations are extremely toned down for the June quarter, the first (Q1) of the financial year 2017-18. Analysts at Edelweiss expect a moderate 12 per cent revenue growth for 225 companies under its coverage, while net profit growth might dip by up to 2 per cent, on the back of a 262-basis point decline in operating margins. 

However, it is essential that